One issue is that I would prefer to use 5V version just like an arduino for various reasons, like for 5V all the components like relays are about half of the price. I would need to mesure voltage and current with the ICS current sensor which is 5V again but I guess there is some alternatives out there.

My other question is, which is not completely clear to me after reading through couple of forum posts that can the ESP32 handle multiple telnet requests simulteanously?

I got used to running a C code on an raspi which can easily serve hundreds of clients from the data it received from an arduino through serial. I would like to leave out a raspi from my build if the ESP32 can do this. There would be 5-10 clients connecting with the frequency of 1 minute to pull some information from the ESP32. This is also has to be roboust, eg I don't want it to crash, run out of resources after a month.

The maximum number of simultaneously listening TCP
connections. The practical maximum limit is
determined by available heap memory at runtime.
Changing this value by itself does not substantially
change the memory usage of LWIP, except for preventing
new listening TCP connections after the limit is reached.

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Espressif Systems is a fabless semiconductor company providing cutting-edge low power WiFi SoCs and wireless solutions for wireless communications and Internet of Things applications. ESP8266EX and ESP32 are some of our products.